MOTORING; Even Free, Your Maintenance May Vary

By CHERYL JENSEN

Published: August 22, 2010

CORRECTION APPENDED

MORE automakers are offering free scheduled maintenance as an incentive for customers to choose their brand, and to encourage existing owners to remain loyal when they are ready for their next vehicle.

How much of a benefit these programs actually offer consumers depends on the brand of vehicle under consideration and the terms and duration of the coverage. Typically, tasks like oil and filter changes, listed in the owner's manual as required for proper upkeep but not covered under the vehicle's warranty, are included. Some brands also cover items that are normally expected to wear over time, like brake pads and windshield wiper blades.

In April, as Jaguar was introducing its redesigned flagship sedan, the 2011 XJ, the company announced that it would provide complimentary scheduled maintenance for five years or 50,000 miles, starting with its 2011 models. In June, with the debut of its 2011 CTS Coupe, Cadillac said it would provide buyers of all 2011 Cadillacs free scheduled maintenance for four years or 50,000 miles.

Cadillac and Jaguar join other brands, including Audi, BMW, Land Rover, Lexus, Mini, Saab, Volkswagen and Volvo, in offering some level of no-charge maintenance services to their owners.

But the fine print shows that savings can vary widely; some cover only the first oil change, while others cover oil changes and other services for several years.

A Web site that provides auto information, Edmunds.com, has estimated the savings offered by the various programs, taking into account the cost of parts and labor. Edmunds's figures range from $129 for Lexus owners to $2,865 for BMW owners. BMW estimates its savings to be $1,000 to $2,000.

Among luxury automakers, BMW stands out with coverage for four years or 50,000 miles, whichever comes first, including wear items like brake pads in addition to oil changes.

Some automakers offer the free maintenance programs as short-term sales promotions. In June, for example, Lincoln announced a promotional program that would cover all scheduled maintenance for three years or 45,000 miles, but only for customers who bought or leased a new Lincoln through Sept. 7.

Scion and Toyota have promotional programs as well. Toyota's lasts through Sept. 7 and Scion's through Sept. 30.

Volvo's Safe and Secure promotion, which began in 2009, lasts through Sept. 30. It offered coverage for five years or 60,000 miles and ''temporarily'' took the place of a previous program that lasted for three years or 36,000 miles. But temporary appears to have become nearly permanent, as Volvo has continually renewed the promotion.

Why are all these announcements and incentives being offered now?

''Manufacturers are looking for the most cost-effective way to move iron off the lots,'' said Karl Brauer, who is the senior analyst and editor at large for Edmunds.com.

Chris Sutton, senior director for retail operations at J. D. Power & Associates, said manufacturers were looking for ways to hold onto their previous customers.

''These no-charge maintenance programs are a very good way to get your existing customers used to using your service department,'' he said. ''And then, in turn, they are going to be a little bit more likely to stay with the brand. BMW has definitely had success with that.''

Also, it isn't unusual for these announcements to come in me-too bunches, Mr. Brauer said.

''It's like dominos,'' he said. One brand does it and others need to match the offer in order to remain competitive.

Whether free maintenance is a sweet deal depends on the details. And that's where consumers need to do their homework.

Mr. Brauer of Edmunds recommends looking carefully at the specific coverage offered. ''Service is a broad term,'' he said. ''You could have much more covered in one program than another.''

The programs generally include oil changes. Consumers get a better deal, however, if wear-and-tear items are covered as they are in programs offered by BMW, Jaguar, Mini and Volvo.

But consumers should not be seduced by free maintenance programs. Far more important are long-term reliability and repair costs, Jeff Bartlett, deputy editor for the online auto coverage at Consumer Reports, wrote in an e-mail.

Automakers that do not provide free scheduled maintenance include most domestic brands as well as Honda, Acura, Toyota, Nissan, Infiniti and even Mercedes-Benz.

Mercedes offered a program in the past but has since gone to a prepaid service plan called Star Service, which starts at $769 and varies by model; it covers required maintenance for three years or 30,000 miles. Mercedes says it represents a saving of about 30 percent compared with paying as you go.

Some automakers say they would rather give the customer a lower-price vehicle and a lower overall cost of ownership.

Audi offered free maintenance from 1988 to 2007. But it wasn't a top priority among consumers and didn't help to sell cars, Jeff Kuhlman, a spokesman for Audi of America, wrote in an e-mail. Competitive pricing ''is perceived as a better value to our customers,'' he wrote.

The company now covers the first oil change at no charge and offers AudiCare, which provides four years of scheduled maintenance for $790.

The situation is reversed with the Volkswagen brand, Audi's sibling in the Volkswagen Group, which provides no-charge maintenance for three years or 36,000 miles. The VW program addressed an issue of brand defections by owners who otherwise liked their cars; research had suggested that customers found the cars cost more than expected to maintain, Mr. Sutton said.

In the end, free maintenance is becoming one more variable for consumers to factor into their calculations when buying their next vehicle.

PHOTO: PERKS: Buyers of 2011 Cadillacs will get four years of no-charge maintenance services.
CHART: Automakers Currently Offering Free Scheduled Maintenance: These are the automakers that are now offering some level of free scheduled maintenance, which includes services required at specified intervals by the manufacturer. Some programs are ongoing; others are closed-end promotions. The current promotional offers are scheduled to end in September but could be continued. Factory-scheduled maintenance generally covers oil changes.

Correction: August 29, 2010, Sunday

This article has been revised to reflect the following correction: A chart last Sunday with an article about automakers' free scheduled-maintenance programs included outdated figures for the estimated savings realized by customers. The chart has been updated to reflect the changes.